No Penalty in case where tax liability gets confirmed on the basis of a decision that was not available at the time of filing return of income:

AO levied penalty on the ground that decision u/s 80HHC was wrongly claimed. ITAT deleted such penalty as it found that tax penalty against the assessee was confirmed on the basis of decision of Hon’ble Apex Court which was not available at the time when assessee filed return of income. ITAT relied on decision in the case of CIT vs. Reliance Petro Products Pvt. Ltd. [322 ITR 158 (SC)] wherein it has been highlighted that filing of wrong claim per se would not give rise to penalty proceedings. On Revenue’s appeal, the Hon’ble High Court upheld the view taken by ITAT.

[FRIENDS SALT WORKS AND ALLIED INDUSTRIES - TAX APPEAL NO.397 of 2012 - GHC]